Reducing the staff of the organization in order to optimize production processes and to bring the contingent to the optimal number is a difficult time both in the company's activities and in the life of the employee who received a notification to the administration about the reduction of his position. This difficult situation knocks out from the usual rut even the most persistent. But in today's article we will not touch upon the psychological subtleties of the moment. Consider the important aspect of such forced dismissal - severance pay for staff reduction, its size and payment terms.
Features of the staff reduction layoff procedure
Considering that Russian employers are not inclined to obey the current legislation, a reduced employee will be superfluous to control the situation. First, throughout the entire period from the delivery of the notice to the actual calculation, the administration must inform the employee in writing about existing or emerging vacancies. For the company this is a serious question. There is an extensive judicial practice of restoring reduced employees at work, who have proven the failure of dismissal in the presence of a number of vacancies that were not offered to them. Secondly, if they were not found, and the dismissal will take place, the employee does not need to write an application for dismissal. This procedure has nothing to do with dismissal of one's own volition, and the role of the application is already played by the notice given to the employee and giving him the full right to receive such a compensation payment as severance severance pay.
The size of the allowance
The current legislation unequivocally treats the rules for providing compensation for dismissal for staff reduction. First of all, it is the payment of benefits with a reduction in the amount of average monthly earnings. Moreover, the shortened employee is paid a period intended for further employment - no more than 2 months from the date of dismissal, taking into account already received severance pay, based on the same calculation of the average monthly earnings. The law provides for the dismissal of an employee on the basis of a written application before the end of the period specified in the notice. In this case, he has the right to expect additional compensation, determined from the calculation of the average monthly earnings and paid in proportion for the time remaining until the day of dismissal. It should be noted that the employee does not lose the right to compensatory benefits.
Payments according to the decision of the CZN
If a person registered at the employment center within 2 weeks after the dismissal, but within two months did not decide on further employment, the decision of this service the third month of job search can be paid under several conditions. This employer finances this allowance to reduce the employer's reference to the certificate provided by the Employment Center. We also note that the right to pay for the 3rd month of searching for the right vacancy arises only if no suitable work has been proposed. With two rejections of proposals for suitable vacancies, this right is lost. By the term "suitable vacancy" is meant the proposal of the work of the relevant qualification with wages not less than the last place of work, and within the reach of transport.
The severance pay for staff reduction is calculated as the average earnings from the actual wage accrued for the previous 12 months of work divided by the actual hours worked for the same period and multiplied by the number of working days payable. There are no specific features in the calculation of compensation payments by law. We only note that severance pay is not subject to income tax when staff is reduced, and in special cases (if the child is more than 18 years old and is a full-time student), alimony may not be withheld from him.The amounts of wages and compensation for unused vacation payable with dismissal are subject to taxation on general grounds. Naturally, alimony from them is also withheld. Another important rule: the payment of the final calculation, the issuance of the work record book and the certificate of average earnings for submission to the Employment Center should be made on the day of dismissal. These are the rules.